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Argentina Net Metering Regulation

Argentina Progresses With Bill For Distributed Sources Of Power Generation To Sell Excess Power To The Grid

05:07 PM (Beijing Time) - 18. July 2017

Argentine Chamber of Renewable Energies (CADER) President Marcelo Alvarez welcomed the move towards net metering, saying that in August the Commission of Energy and Fuels will hold a plenary meeting with the Committee of Budget and Finance to give a legal shape to the proposed bill. (Photo Credit: Argentine Chamber of Renewable Energies (CADER))

Key Takeaways

Argentina’s Commission of Energy and Fuels has prepared a draft bill that aims to allow distributed sources of power generation to sell excess power to the grid

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Argentina is working on a regulation to put in place a net metering scheme. The Commission of Energy and Fuels has worked out a draft bill covering distributed generation sources that send excess energy back to the grid. The bill is supported by the ruling party and the opposition.

The draft covers the following distributed generation sources: solar panels, biodigestors, hydroelectric turbines or low-power turbines installed across the country. Residential, commercial and industrial users will be able to inject the surplus energy to the grid, according to Argentine Chamber of Renewable Energies (CADER).

Drivers for the bill are the creation of new jobs based on a whole new supply chain needed for the purpose as well as energy security, supporting the country to decrease imports of fossil fuels used for distributed thermal generation.

In August, the commission will hold a plenary meeting with the Committee of Budget and Finance to give a legal shape to the bill. The private sector and civil society representatives too will discuss the bill in Congress. The bill is expected to be approved this year.

“We support this project because it establishes a conceptual change in the energy system, focused on bringing generation to consumption,” said Marcelo Alvarez, President of renewable energy association CADER. “As subsidies are withdrawn the difference will be even more important,” he added.

Argentina is aiming to achieve a target of 20% share of renewables in the energy mix by 2025. It is conducting auctions for large scale renewable capacity including solar. Under its RenovAr program, Round 2 of competitive bidding is expected to take place by the end of 2017.